On Wednesday, the greenback touched it highest levels in months versus its pairs, following the announcement of Fed's chair Jerome Powell who stated that interest rate hikes will go above anticipation in an attempt to tame the soared inflation.

The US. Dollar index that gauges the greenback versus its major pairs hit 3 months peak at 105.88, post surging by 1.3%, the largest daily growth in seven months.

The dollar surpassed $1.0524, a two-month high, against the euro, continuing Tuesday's 1.2% surge.

The dollar also rose as much as 0.5% to a nearly three-month high of 137.9 yen, breaking above its 200-day moving average for the first time this year.

Pound declined to $1.1811 became the lowest price since late November.

According to CME's FedWatch tool, traders now predict a 65% likelihood of a 50 basis point U.S. rate hike in March, up from approximately a 30% chance a day earlier. Powell's comments also raised projections for short-term rates.